Crypto Payments Still a Secondary Use: Insights from the 2025 Onchain UX Report
The 2025 State of Onchain UX report, by reown adn Nansen AI, explores why crypto payments haven’t gone mainstream. It examines how users interact with wallets, apps, and on-chain services.
The report surveyed 1,038 active crypto users in the U.S. and U.K. Most participants were men aged 18-34. Only 17% were beginners, while 43% had over two years of experiance.
users identified as traders (56%), DeFi users (45%), and those using crypto for real-world transactions (47%).
Key findings include:
- Most users (62%) now use multiple wallets for different chains and security.
- Mobile wallets are preferred, but hardware wallets are gaining traction among experienced users.
- Users want lower fees, and security-focused.
Users want lower fees, broader token support, simpler designs, and better scam protection. Despite increased confidence in wallet security, phishing and blind signing remain concerns.
Blockchains are now specializing. Ethereum handles large transaction volumes and supports various applications. Solana excels in high-frequency activities like memecoins and fast trading.
This shift shows the crypto landscape’s evolution. Developers and platforms must adapt to support diverse on-chain participants effectively.
User Behaviour and Chain Preferences in the Crypto Space
Crypto users are increasingly diversifying their activities across different blockchain networks. Solana, for instance, has a user base that shifts quickly, often driven by short-term trading on platforms like pump.fun and Jupiter.
Base, a layer 2 network supported by Coinbase, is gaining traction.It hosts a variety of experimental apps and cross-chain tools. Fee revenue on Base has surged by over 460% year-over-year. Yet, only 10% of users consider layer 2 chains their primary platform, showing the power of familiarity and network effects.
BNB Chain stands out with its close ties to the Binance ecosystem. Users here favor low-cost, fast transactions over a wide range of apps. This model appeals to those who prioritize speed and cost.
Most crypto users now switch between chains based on their needs. This trend is reflected in the growing importance of cross-chain compatibility, with over 80% of users valuing it highly.
Trading remains the most popular activity, even as users show interest in payments, gaming, and social tools. Bitcoin is the most held token, with 64% of users owning it. Stablecoins and memecoins are also gaining ground.
DeFi use is steady but not a top preference. Only 8% of users named it as their favorite activity. NFTs are evolving from speculative assets to collectibles, but only 19% of NFT collectors favor NFT-related activities.
Security is a growing concern. While user confidence has risen to 69%, phishing attacks have increased to 21%. many users feel that wallets and apps need stronger safeguards.
Crypto Wallets: Balancing Security and Convenience
There’s a growing gap between how safe people think crypto wallets are and the actual security they provide. Many users believe their funds are well-protected, but the numbers tell a different story. This discrepancy shows a need for better education and tools.
Hardware wallets are gaining traction, especially among seasoned crypto enthusiasts. These devices store private keys offline, offering enhanced security. Yet, they’re not widely adopted. Most people still prefer social and mobile wallets. These options are easier to use but come with higher risks like phishing and harmful smart contracts.
age plays a role to. Older users tend to be more careful with their choices. Younger users, however, are more willing to try new, riskier options. This divide highlights the importance of user education.
stablecoins are becoming more popular. Their use has jumped from 20% to 37% in just one year. They appeal to those needing stable, low-volatility assets for everyday transactions.Companies like Stripe, PayPal and Paxos are integrating crypto into their services. This move brings on-chain transactions closer to mainstream use.
However, challenges remain. High fees, poor user experience, and app quality issues still create hurdles. Users often need multiple wallets to navigate different networks, leading to frustration. The crypto payment system is improving but isn’t yet seamless. Many apps are isolated,and setting up a new wallet can be confusing and costly.
Geography also affects adoption. In areas with unstable currencies, crypto offers clear benefits.In the U.S. and U.K., conventional systems are faster and cheaper for daily tasks. For crypto to compete with traditional finance,it must become as easy and reliable as what people are used to.
